In defence of fair-wage policies

The Ontario Construction Secretariat was formed in 1993 as a joint labour/management organization representing the unionized industrial, commercial and institutional construction sectors in Ontario. Collectively our industry encompasses over 100,000 trades people employed by over 5,000 union contractors.

One of the principal functions of the OCS is to undertake research that enhances the well-being of Ontario's construction industry. In this role, we are a respected organization that is frequently called upon by government to provide advice and guidance on related public policy matters.

Fair-wage policies have far-reaching benefits to communities. Confining the discussion to the effects on wages, benefits and construction costs misses the broader public good that fair-wage policies deliver. Our 2006 research found fair-wage policies serve to mitigate the negative aspects of competitive bidding by ensuring contractors compete on quality and efficiency.

Fair-wage policies have important direct and indirect effects on worker health and safety, skills training and on deterring underground practices. In other words, tax dollars are focused on achieving "best value" for the public good. Furthermore, there is no evidence to support that fair-wage policies lead to significant increases in costs.

It is refreshing to see the municipalities of Clarington, Oshawa and Pickering have joined the municipalities of Thunder Bay, Toronto, London and Hamilton in taking a progressive approach to providing good stewardship of tax dollars spent on construction projects. Too bad Durham Region couldn't join this forward-thinking group.